Tag: Monopoly and Antitrust

Jean Tirole, 2014 Nobel Laureate in Economic Sciences »

The 2014 Nobel Prize in Economic Sciences was awarded to Jean Tirole of the Toulouse School of Economics. According to Reuters, the prize recognizes Professor Tirole’s work aimed at “taming” private business firms through governmental regulatory interventions and antitrust law enforcement. That summary is true as far as it goes. Professor Tirole indeed spent...
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A Very Weak Case for Hospital Mergers »

One consequence of Obamacare is hich can reduce competition and increase prices. Writing in the Wall Street Journal, Dr. Kenneth L. Davis, MD, CEO and President of Mount Sinai Health System in New York City, puts forward a number of claims in favor of hospital consolidation. Each assertion is weak, making an unconvincing argument overall. First, Dr....
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Chicago Teachers Union Boss and Classic Champagne Socialism »

It’s a busy time of year for Chicago Teachers Union President, Karen Lewis. Two years ago just in time for Labor Day, she was helping organize the city’s first teachers’ strike in more than 25 years—a move that was highlighted at the Midwest Marxist Conference. Last year she was busy blaming the Chicago Public...
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Muckraker or Special Pleader? »

In “A Brief History of Media Muckraking”, the Wall Street Journal’s Amanda Foreman traces the contributions of “reform-minded journalists from Ida Tarbell to [Bob] Woodward” and a few others who spilled newspaper ink writing about abuses of power by the private and the public sector. Obviously a fan of the progress made during the...
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Bork on Antitrust »

Following up Carl’s post, while Bork is remembered largely as a Constitutional scholar, his important early contributions dealt with antitrust. He was sharply critical of the modern application of US antitrust law, while remaining wedded to the Knight-Friedman-Stigler idea of perfect competition as a welfare benchmark, leading to a number of confusions and contradictions....
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No Good Deed Goes Unpunished: The High Cost of Solar »

Residents of Hawaii were dismayed to see this recent front-page headline: “Hawaii Solar Savings Spark Higher Electric Bills.” Since so many consumers have sought electrical savings from installing solar panels, the state-monopoly electric utility is losing revenue and now needs to make it up in higher rates. At least Hawaii’s perennially sunny weather will...
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France Fines Google: Is Atlas Shrugging? »

In Ayn Rand’s novel, Atlas Shrugged, published in 1957, businesses push government to pass law after law that aids weaker businesses by penalizing successful ones. There’s the “Anti-Dog-Eat-Dog Rule” to prevent destructive competition among firms in an industry, and the “Equalization of Opportunity Bill” that limits the number of businesses one person can own....
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Nobel Laureate Economist Ronald Coase Turns 101 »

On December 29th, the world-renowned economist Ronald H. Coase celebrated in Chicago his 101st birthday. Professor Coase received the Nobel Prize in Economic Sciences in 1991, and he is the Clifton R. Musser Professor Emeritus of Economics at the University of Chicago Law School and the former, highly influential editor of the prestigious Journal...
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Beyond Politics Exposes the Roots of Government Failure »

Economic “stimulus” packages that don’t revive the economy and that increase federal deficits and undermine private investment and job growth? Check. Laws meant to protect endangered species but which incentivize landowners who have them on their property to “shoot, shovel, and shut-up”? Check. Anti-poverty programs that foster dependency and hinder participation in the job...
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Justice Done in Louisiana! Whuda Thunk? »

In a shockingly unusual turn of events, a federal court in Louisiana has reached a just decision. This man-bites-dog decision involves my neighbors, the Benedictine brothers of St. Joseph Abbey and Seminary, about whose difficulties I wrote recently. The Louisiana funeral directors’ cartel was attempting to shut down the monks’ sale of the simple...
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